by Madison McVan, Minnesota Reformer
A bipartisan bill limiting homeowners’ association fees, implementing new transparency and conflict-of-interest rules and establishing a path to dissolve some HOAs passed the Minnesota Senate Wednesday. The bill (SF1750) now heads to Gov. Tim Walz’s desk for final approval.
Homeowners in Minnesota have faced massive charges from their HOAs for questionable construction projects, like new roofs and siding. A 2025 Reformer investigation found that some HOA management companies hired their own subsidiaries to complete expensive construction projects. In at least one case, a homeowner wound up in foreclosure due to hefty assessments.
The bill passed by the Senate — and previously, by the House — would cap HOA fines at $100, with exceptions for repeat violations, health and safety risks, property damage or illegal rentals. It would require board members and property managers to disclose their financial relationships and recuse themselves from decisions from which they could financially benefit.
If signed into law by Walz, it would also require HOAs to make budgets available prior to meetings and to provide copies of contracts to residents upon request.
Multiple homeowners interviewed by the Reformer said that their questions for their HOA were referred to the board’s attorney — and then the resident was charged legal fees for the lawyers’ time.
The bill would bar HOAs from charging residents legal fees for questioning fines or charges unless a formal hearing is held and the fine or assessment is upheld.
The legislation is the product of years of collaboration and negotiations among homeowners, HOA board members, lawmakers and property management companies. In 2024, the Legislature created a working group tasked with proposing reforms to the state’s laws governing HOAs and similar organizations. Lawmakers on the task force held several listening sessions to hear homeowners’ horror stories (and support for HOAs via some dedicated board members).
The recommendations from that group became the foundation of the bill passed Wednesday.
“The reforms in this bill will rein in abusive HOAs by empowering residents with more information, more rights and more protections,” said Sen. Eric Lucero, R-St. Michael, the top Republican on the Senate housing committee and a member of the HOA working group. “This bill is a true bipartisan compromise — in addition to adding consumer protections, nearly every concern raised in good faith was addressed.”
Minnesota Reformer is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Minnesota Reformer maintains editorial independence. Contact Editor J. Patrick Coolican for questions: info@minnesotareformer.com.
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